Westfield Group
From IntFX
See also: WDC for realtime information.
Westfield Group is vertically integrated, internally managed shopping centre group having global portfolio. It undertakes ownership, development, design, construction, funds and asset management, property management, leasing and marketing.
Westfield’s core business activities involved:-
- Property management, marketing and leasing activities : It involves leasing and the day-to-day management and marketing of the centres
- Property development, design and construction activities : Company’s development activities are vertically integrated and involve all of the elements of development, design, construction and leasing with a view to maximizing returns on investment
- Funds/Asset management activities : It involves managing assets on behalf of institutional and other investors
The Company has started eight major projects and 15 projects are underway. Its two major projects include:
- Westfield London
- Westfield San Francisco
Following are few major expansion deals:-
- In 2006, company acquired 16 former Federated department stores sites across 12 centres in the United States
- Westfield and Federated also agreed on 18 projects involving redevelopments in the near future.
- The Company acquired a 50% interest Cairns Central in far north Queensland.
- In the United Kingdom, Westfield acquired the remaining 75% interest at Stratford City from its former co-owners
- The Company acquires 15 Federated Department Store sites
The Westfield Group has an investment portfolio of 121 shopping centres valued in excess of A$62.6 billion (US$53.2 billion). These are located in Australia, the United States, New Zealand and the United Kingdom. These shopping centres have strong presence in their local markets with geographic, retail and economic diversity. The centres are located in prime trade areas and have long term tenancies with 22,850 retailers. It incorporates a wide cross section of high quality specialty retailers and national chain store operators. The Westfield Group (ASX: WDC) has now established a Level I American Depositary Receipt (ADR) program which will permit investors to invest in Westfield Group through a U.S. traded security using The Bank of New York.
[edit] History
The Company’s initiation dates back to 1956 when first shopping centre was opened in Blacktown NSW. On history of company a book has been published by name “The Detailed Westfield Story”. Company has developed into leading front runner with global footage.
[edit] Strategy
The Company is on growth path with full focus on inorganic and organic growth. It has got good pipeline of projects to execute. Also company is forming JVs and mergers & acquisitions to increase share of business and hence sales revenue through renting.
[edit] Financial and operational performance
The Company's net profit was $5.583 billion for the year to 31 December 2006 compared to $4.247 billion for the year to 31 December 2005. Total income for the year including net contribution from equity accounted entities was $8.868 billion with property income of $3.814 billion and property revaluation gains of $5.138 billion. This includes $950 million of development gains from projects completed during the year.
